Worker decisions on retirement account participation and their investment choices for retirement accounts play an important role in post-retirement income. The interaction between the decisions of husbands and wives was investigated by using a bivariate probit model with a spouse effect. There were a positive spouse effects on the two decisions in households where both spouses were working. When marital status and working status were controlled, no significant gender difference in the decisions was found. Risk tolerance and the expected time horizon until retirement are important factors in the investment decision as expected. Key Words: Stock investments, Retirement planning, Risk tolerance, Survey of Consumer Finances, Gender differences

Download Journal

Comments are closed.